FEDERATION OF EURO-ASIAN STOCK EXCHANGES
ANNUAL REPORT JUNE 2013
KAZAKHSTAN STOCK EXCHANGE
HISTORY AND DEVELOPMENT
One of the major events last year was the
first IPO that took place in the framework of
the “People’s IPO”. This initiative is aimed to
privatization through IPOs on KASE of 5-15%
of the first rate companies that belong to the
“Sovereign Wealth Fund “Samruk-Kazyna”.
Among companies considered for IPOs
are national conglomerates with a proven
track record of progress and stability. As
one of the major participants of this project
implementation KASE prioritized its medium-
and long-term plans to successfully support and
implementation of these IPOs.
Thanks to the efforts of all program participants,
the first People’s IPO of KazTransOil (oil
transportation and pipelines company) took
place in November 2012. The order book was
open on November 6, 2012 for one month.
More than 34 000 individuals and 10 pension
funds subscribed. The demand was more than
two times higher than supply and amounted to
59.4 billion Tenge (ca. 400 m US$). Individuals
invested in the amount of 22 billion Tenge (147
million US$).
Right after the KazTransOil IPO a private mobile
connection provider KCell had an IPO on
KASE with a dual listing on LSEG. Placement
of the ordinary shares of KCell on KASE via
subscription and special trades attracted 7.5
billion Tenge (50 million US$) totaling to 9.44%
of the total issue.
Another significant event was successful
placement of the Islamic securities on KASE
implemented in August, 2012 by Kazakhstan
Development Bank “Sukuk Al-Mubarakha” for
the amount of 240 m Malaysian Ringgits (ca.
77.7 m US$) with the annual interest rate of
5.50% within 5 years of maturity period. 62%
of the issue was distributed among Malaysian
investors and 38% was offered to Kazakhstani
investors on KASE. FUTURE OUTLOOK
Within the framework of FEAS bi-lateral
exchange program KASE had an opportunity to
visit Bulgarian Stock Exchange in February 2012
and thanks to the hospitality of the Bulgarian
colleagues get acquainted with the stock
exchange operations and the current status
of Bulgarian financial market. In addition, in
2012 KASE continued its cooperation with the
Organization for Economic Cooperation and
Development (OECD) on corporate governance
improvement in Eurasian capital markets. One of the important projects planned for 2013
is full membership at the World Federation
of Exchanges. KASE has already submitted
the letter of intent, which was reviewed by
WFE Board of Directors, and is preparing
for successful implementation of the WFE
accession procedure.
Finally, KASE signed a contract with Wiener
Boerse AG aimed at calculation and promotion
of KASE indexes. A tradable index KTX Local
was launched on January 29, 2013 with the
following most liquid shares selected by
considering the monthly trading value and the
number of active trading days:
Company Weighting
ENRC
20.18%
KAZMUNAIGAS EP
19.82%
KAZAKHMYS
19.52%
HALYK SAVINGS BANK
14.05%
KCELL
12.31%
KAZTRANSOIL
6.56%
KAZAKHTELECOM
6.04%
KAZKOMMERTSBANK
1.52%
CONTACT INFORMATION
Contact Name Ms. Amina Turgulova
PAGE 56
E-mail [email protected]
Website www.kase.kz
Following successful implementation of some
of the major projects in 2012, during 2013 KASE
is planning to fulfill the remaining projects that
were planned in the framework of 2011-2013
Development Strategy of the stock exchange.
During the course of 2013-2015 KASE is
expecting new IPOs that will take place within
the framework of the People’s IPO program.
Implementation of this program will enable
KASE to offer additional attractive instruments
for secondary market trading by local and
foreign market participants and enhance the
liquidity of Kazakhstani capital market.
KASE is planning to continue upgrading
existing trading and post-trading systems
aimed at creation of technical framework for
introduction of new instruments and ensuring
easy and efficient access to the market. KASE
is committed to development of our market’s IT-
infrastructure both in a short-term and in a long-
term prospective to ensure compliance with
local and international investors’ requirements.